Browse content similar to 04/02/2014. Check below for episodes and series from the same categories and more!
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state and independent schools. Michael Gove says he wants all 13 | :00:00. | :00:00. | |
year olds to sit the entrance exams set by independent schools. | :00:07. | :00:19. | |
Now it is time for Asia Business Report. Fast food giant Yum! Brands | :00:20. | :00:36. | |
looks at its biggest market. We start off with the Asian markets, | :00:37. | :00:43. | |
where share prices are falling due to a worse than expected US | :00:44. | :00:48. | |
manufacturing report. Markets are all down, in negative territory at | :00:49. | :00:56. | |
this hour. US equities tumbled their most since June of last year. The | :00:57. | :01:05. | |
Dow Jones the S 500, were down more than 2% overnight. Let's talk | :01:06. | :01:12. | |
for the chief market strategist at CMC. Thank you to joining us. What | :01:13. | :01:19. | |
you make of this downturn in the US and Asian markets. ? Is this the | :01:20. | :01:24. | |
start of a long return downturn? Or is this just a blip? The action in | :01:25. | :01:33. | |
the US overnight was mainly for it weak reading on the ISM, and while | :01:34. | :01:38. | |
manufacturing figures were Port, a lot of the downturn can be | :01:39. | :01:48. | |
attributed to the poor weather. We have already seen a rally in US | :01:49. | :01:52. | |
futures in our overnight session. Nonetheless, the souring of | :01:53. | :02:02. | |
sentiment was led down by markets in Tokyo, will be sorry saturated | :02:03. | :02:04. | |
movement in the highly volatile environment. Markets across the | :02:05. | :02:11. | |
border town 1-2%. Much of the Asian region is still on holiday, and | :02:12. | :02:15. | |
conditions are exaggerating it at this stage. You also have the weak | :02:16. | :02:20. | |
factory growth report from China, plus the fact that there is also | :02:21. | :02:25. | |
problems in other emerging markets, like Argentina, Ukraine, and South | :02:26. | :02:30. | |
Africa. You think that if the situation goes from bad to worse, | :02:31. | :02:33. | |
this could start of a contagion effect? That is worth the risk in | :02:34. | :02:43. | |
markets, but the underlying fundamentals don't support that. All | :02:44. | :02:49. | |
emerging markets shouldn't be put into one basket. The situation | :02:50. | :02:53. | |
varies from country to country, and we see banks in China, once we have | :02:54. | :02:57. | |
done the numbers, appear to have no foundation. That doesn't mean there | :02:58. | :03:02. | |
are no concerns for us, particularly in countries like India, weather is | :03:03. | :03:06. | |
high inflation, slowing growth, and a widening current account and trade | :03:07. | :03:11. | |
balance. The chances of a wholesale slump appeared to be slim. Thank you | :03:12. | :03:17. | |
for your views on the Asia-Pacific markets. | :03:18. | :03:23. | |
Shares of Chinese computer manufacturer Lenovo slumped more | :03:24. | :03:28. | |
than 14% in Hong Kong, adding to losses from last week was | :03:29. | :03:34. | |
announcement that it had bought Google's Motorola mobility handset | :03:35. | :03:45. | |
unit for more than $3 billion. This is China's biggest technology | :03:46. | :03:50. | |
purchased to date. The US central bank has a new boss, Janet Yellen. | :03:51. | :03:56. | |
She was sworn in on Monday, and will be the first woman to lead the | :03:57. | :03:59. | |
Federal bank in its 100 year history. She faces the challenge of | :04:00. | :04:05. | |
unwinding a massive stimulus programme without scaring the | :04:06. | :04:10. | |
markets or hurting growth. Ben Bernanke stepped down last week | :04:11. | :04:14. | |
after eight years in office, and has joined the Brookings Institute. HP | :04:15. | :04:32. | |
claims Autonomy fraudulently inflated its numbers in 2010 and | :04:33. | :04:39. | |
2011, which people at Autonomy deny. US car sales have slumped. People | :04:40. | :04:51. | |
bought just over 1 million vehicles last month, with General Motors, | :04:52. | :04:57. | |
Ford and Toyota all facing a bigger than expected fall in sales. The US | :04:58. | :05:04. | |
is the world's largest car market. Brazil posting the biggest monthly | :05:05. | :05:07. | |
trade deficit in its history due to the falling value of its currency. | :05:08. | :05:12. | |
Brazil's trade deficit was more than $4 billion in January, after | :05:13. | :05:16. | |
consumers bought more overseas products, while the value of its | :05:17. | :05:21. | |
exports fell. That is largely because its currency has depreciated | :05:22. | :05:29. | |
by about 18% in the past year. Shares in fast food find Yum! | :05:30. | :05:33. | |
Brands, the owner of KFC and Pizza Hut, rising by nearly 4% in late | :05:34. | :05:38. | |
trade after it confirmed its earnings forecast for next year. | :05:39. | :05:44. | |
Yum! Brands had posted weaker than expected profits after food safety | :05:45. | :05:52. | |
scares and outbreaks of avian flu. Investors are now hopeful that the | :05:53. | :05:58. | |
worst may be over for Yum! Brands. It is Chinese New Year in China, a | :05:59. | :06:01. | |
time when many families will be coming out to eat, that it seems | :06:02. | :06:06. | |
increasing numbers will be avoiding chicken on offer at KFC. Concerns | :06:07. | :06:11. | |
over avian flu mean that many people in China are dropping chicken from | :06:12. | :06:16. | |
their diets, even though experts say that cooked meat has no risk of | :06:17. | :06:23. | |
infection. People are avoiding KFC after some Chinese poultry suppliers | :06:24. | :06:26. | |
were accused of misusing antibiotics. We don't like KFC | :06:27. | :06:31. | |
because we think it is junk food and it is not good for children. So we | :06:32. | :06:40. | |
sell them eat it. -- seldom. I don't pay much attention to KFC because we | :06:41. | :06:44. | |
rarely eat it, but I am worried about food. Anything going into my | :06:45. | :06:47. | |
mouth is important and I am worried about food safety. Ring that I don't | :06:48. | :06:54. | |
often it KFC. I choose it sometimes because it is convenient, when I | :06:55. | :07:03. | |
don't want to cook for myself. KFC has a new marketing campaign, with a | :07:04. | :07:12. | |
slogan " trust in every bite" . Yum! Brands wants to turn around sales in | :07:13. | :07:16. | |
China, because it is so heavily dependent on the Chinese market, and | :07:17. | :07:20. | |
particularly on KFC, and they say it is vital that for this new campaign | :07:21. | :07:30. | |
to work. Earlier, I spoke to a food and | :07:31. | :07:35. | |
beverage specialist in Shanghai, and asked him whether the worst was over | :07:36. | :07:39. | |
for Yum! Brands. They have had a very rough year in China, with | :07:40. | :07:44. | |
reports about their poultry suppliers using antibiotics really | :07:45. | :07:49. | |
hurting consumer trust. It is up to them to rebuild their brand. Is | :07:50. | :07:55. | |
consumer trust back? I don't think it is. I think consumers are still | :07:56. | :08:02. | |
wary, as you saw in the segment that you just and, they are worried about | :08:03. | :08:20. | |
them. -- aired. There are also other options, with Burger King and | :08:21. | :08:32. | |
several Chinese food establishments. You think the Chinese are turning | :08:33. | :08:35. | |
their backs on Western food outlets? Nutrition and health are | :08:36. | :08:43. | |
increasingly important. I wouldn't say they are turning their backs, as | :08:44. | :08:47. | |
you heard there is still a need for quick and convenient meals as well | :08:48. | :08:53. | |
as food that is healthy and balanced. You are right, the issue | :08:54. | :08:57. | |
is about health are definitely driving people towards other, more | :08:58. | :09:02. | |
premium restaurants, as well as restaurants that offer more of what | :09:03. | :09:10. | |
is considered balanced food. Asian chains, with country style cooking | :09:11. | :09:14. | |
in western China, and other chains like that which are coming up. In | :09:15. | :09:21. | |
India, and auction of licences for the two G mobile network is under | :09:22. | :09:25. | |
way. Some of the biggest telecommunication companies are | :09:26. | :09:27. | |
taking part, and the government hopes it will raise a considerable | :09:28. | :09:32. | |
sum. This is the third time that India | :09:33. | :09:38. | |
has tried to sell the rights to use these major networks. The first two | :09:39. | :09:46. | |
failed, because companies felt the price was too high, and they | :09:47. | :09:49. | |
boycotted the options. Some of the top players need to win permits, as | :09:50. | :09:56. | |
they have to renew their licences in key cities, like Mumbai and Delhi. | :09:57. | :10:01. | |
Why was this option needed? Two years ago the Supreme Court | :10:02. | :10:06. | |
cancelled 122 licences that had been awarded to Telecom companies. This | :10:07. | :10:11. | |
was amidst allegations that they were misallocated. The companies | :10:12. | :10:17. | |
claimed that there were losses to the June $14 billion, because many | :10:18. | :10:24. | |
licences were sold at their value. Several businessmen have been | :10:25. | :10:27. | |
charged, a court case is under way, and all of them deny wrongdoing. The | :10:28. | :10:31. | |
government hopes there is better success this time, in fact they are | :10:32. | :10:35. | |
hoping to raise as much as $1.8 billion from the option this year. | :10:36. | :10:39. | |
Stock will thank you for watching. Up next, Sport Today. | :10:40. | :10:47. | |
Our top stories: The World Health Organisation is warning of a tidal | :10:48. | :10:56. | |
wave of cancer sweeping the globe. It says more needs to be done | :10:57. | :10:58. |